The Workings of a Well Crafted Trading Plan on $205 Account | Forex Factory

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Attachments: The Workings of a Well Crafted Trading Plan on $205 Account
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The Workings of a Well Crafted Trading Plan on $205 Account

  • #1
  • First Post: Edited Dec 12, 2018 5:18am Jul 6, 2018 1:23am | Edited Dec 12, 2018 5:18am
What do you really need to start trading Forex? Is it money, strategies, attend Forex classes,copy others or Psychology?Which one is it?If I were to be asked these questions 1 year ago my answer would have been this, I need the first 4 to succeed! Now I have realized that these aspects of trading Forex market mean nothing unless you have a practical and clearly drafted Trading Plan with detailed trading objectives and a healthy mental state. A lot of retail traders like myself neglect this fundamental basis and it leads to a lot of stress,loss of money, jumping from strategy to strategy and bad trading habits let alone ultimately blowing the entire account. I have decided to create this thread showing the workings of a trading plan which forces me to define my own Risk tolerance, leading to an appropriate lot sizing to achieve trading objectives on this account. I will start sharing my trading objectives and trading plan based on the $205 account and try to achieve them through this healthy approach. The thread intend to redirect retail traders like you and I to focus most of our time on what's really really important (Managing Risk) to succeed/stay in this business for a long haul. I hope and wish the thread reaches fellow brothers and sisters who want to start trading Forex the healthier way! I will share the $205 account Trading Plan on the next post so everyone subscribed can understand where we stand. However,like everything else in life nothing stays unchanged from one moment to the next, everything is constantly changing and same applies to this Trading Plan. Any changes or mistakes made on the Plan I will post them as well. I, therefore am open to suggestions moving forward...
Manage your money like a fucking grown-up
  • #2
  • Jul 6, 2018 2:43am Jul 6, 2018 2:43am
Hi Traders these are the Trading objectives for the account and I have uploaded the excel picture for it as well.

Foreign Exchange Trading Objectives:

a) 21.6% of Return per month - 25% max For Short Term Trend
b) 10.8% Max Drawdown of Less than 50% Return
c) $22.1 Max Drawdown per month
d) 100% Chance of Max Drawdown
e) 65.0% Win rate
f) 1.50 to 3 Min and Med reward
g) 0.240% of Max Risk per Day
h) 1.30 Targeted Expentancy of Atleast above 1
i) 40.0 Maximum number of trades per month
j) 10.67%Approach to Targeted Return

Please be aware that these are not fixed objectives and are prone to changes as I tweak the trading system utilized for this thread.
I will maybe consider sharing the system like my buddy jayDavis did with his. You can check his under my subscriptions.
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot3.png Size: 79 KB
Manage your money like a fucking grown-up
  • #3
  • Jul 6, 2018 2:57am Jul 6, 2018 2:57am
Hi guys,

I have tried to come up with trading projections for the next coming 12 months to show how the account should progress given that God is with us
Attached Image (click to enlarge)
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Manage your money like a fucking grown-up
  • #4
  • Jul 6, 2018 3:25am Jul 6, 2018 3:25am
Hi guys,

Just to clarify one thing about the above post.

Our objective is to reach 21.1% return per month by only allowing 10.8% maximum of drawdown per month. If you calculate the risk % we must take per day it will be way above our 0.240% for us to reach the 21.1% return per month. The 0.240% Risk per day is calculated so that we can adhere to the 10.8% Max of drawdown. The reason why we are approaching it this way is because we don't want to reach the drawdown early hence we need to use the market money to build up to our objective target of 21.1% per month and it may take a while. Take a look at the yearly projections starting from July 2018 to June 2019.
Manage your money like a fucking grown-up
  • #5
  • Jul 6, 2018 3:36am Jul 6, 2018 3:36am
Subscribed but if i would have to bet... i would bet against you.

Best wishes
Hope
Necessity knows no law except to conquer
  • #6
  • Jul 6, 2018 3:45am Jul 6, 2018 3:45am
Hi guys,

Decided to screenshot all the trades we will be taking per month starting with the one I took already 5th of July. Please not that Oanda fxTrade account cannot be linked with MT4 so i decided to use its version of mt4 hence it has a different account number as the fxtrade. The screenshot is for the current trade EURCAD using the described system. This is the system i will be using for the account.
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot2.png Size: 50 KB
Manage your money like a fucking grown-up
  • #7
  • Jul 6, 2018 3:55am Jul 6, 2018 3:55am
Quoting oswaldmotape
Hi guys, Decided to screenshot all the trades we will be taking per month starting with the one I took already 5th of July. Please not that Oanda fxTrade account cannot be linked with MT4 so i decided to use its version of mt4 hence it has a different account number as the fxtrade. The screenshot is for the current trade EURCAD using the described system. This is the system i will be using for the account. {image}
Maybe I should be sharing the Rules for the strategy instead of just screenshots showing the entry, stop, Take profit levels. what do you all think?
Manage your money like a fucking grown-up
  • #8
  • Jul 6, 2018 3:59am Jul 6, 2018 3:59am
Quoting oswaldmotape
Hi guys, Decided to screenshot all the trades we will be taking per month starting with the one I took already 5th of July. Please not that Oanda fxTrade account cannot be linked with MT4 so i decided to use its version of mt4 hence it has a different account number as the fxtrade. The screenshot is for the current trade EURCAD using the described system. This is the system i will be using for the account. {image}
This is what I was talking about with regards to the Mt4 and fxTrade accounts
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 133 KB
Manage your money like a fucking grown-up
  • #9
  • Jul 6, 2018 4:34am Jul 6, 2018 4:34am
Quoting 3ndlessHope
Subscribed but if i would have to bet... i would bet against you. Best wishes Hope
Hi Buddy,

I would say you are right! You are following your system. A good thing

I am well aware of the economic news that are coming later on.

Glad you subscribed!!
Manage your money like a fucking grown-up
  • #10
  • Jul 6, 2018 4:37am Jul 6, 2018 4:37am
that ended badly.
another system down the toilet what a surprise.
  • #11
  • Jul 6, 2018 4:49am Jul 6, 2018 4:49am
Quoting MLeslie
that ended badly. another system down the toilet what a surprise.
Hi Mleslie,

What ended badly buddy and what system is down the toilet?
Manage your money like a fucking grown-up
  • #12
  • Jul 6, 2018 4:58am Jul 6, 2018 4:58am
I truly wish you succees. I said i would bet against you because of the objectives. Max 40 trade/month with such low daily risk tolerance for 10% return is only a dream for me haha.
Necessity knows no law except to conquer
  • #13
  • Jul 6, 2018 5:24am Jul 6, 2018 5:24am
Quoting oswaldmotape
Hi guys, Just to clarify one thing about the above post. Our objective is to reach 21.1% return per month by only allowing 10.8% maximum of drawdown per month. If you calculate the risk % we must take per day it will be way above our 0.240% for us to reach the 21.1% return per month. The 0.240% Risk per day is calculated so that we can adhere to the 10.8% Max of drawdown. The reason why we are approaching it this way is because we don't want to reach the drawdown early hence we need to use the market money to build up to our objective target of...
Buddy 3ndlesshope please read above
Manage your money like a fucking grown-up
  • #14
  • Jul 6, 2018 5:26am Jul 6, 2018 5:26am
Good luck on your endeavors! and as always green pips
  • #15
  • Jul 6, 2018 5:48am Jul 6, 2018 5:48am
Great planning i should say. Wishing you very good luck in this journey. If you can achieve this you will not achieve some dollars! but an amazing self quality & confidence to become a smart trader. Stick to plan strictly, surely success will be there. But it should be in the trading journals not in the trading discussion, ask the admin to shift it to trading journal.

Again best of luck, i will check your TE time to time.
How big can you think!
  • #16
  • Jul 6, 2018 7:52am Jul 6, 2018 7:52am
Ahuh. This is now your trading journal bud Oswald? I'll be following here. I'll be funding my account next week. I'm not sure yet how much I could afford. I'll be looking at Davit's Pivotal Trading but seems quite hard for me to understand it yet. But I'll try. Your risk management seems to be of liking to me. I'll try to figure it out. We will succeed here though we only have a tiny investment to start but we will try. Good luck to you bud. I'll be seeing you in green for this whole year and onwards with buddy Jay, too.
The Past mistakes are your guides to provide you directions of the present.
  • #17
  • Jul 6, 2018 8:04am Jul 6, 2018 8:04am
[quote=oswaldmotape;11235263]{quote} Hi Buddy, I would say you are right! You are following your system. A good thing I am well aware of the economic news that are coming later on. Glad you subscribed!![/qu

Update on our first trade:

Like I said was aware of the news that were coming and prepared the trade management as per the strategy for news and here is the screenshot for the trade.
The first 1/3 position got the target while the other two 1/3 position got taken out on news release as break-evens. I will update on the next signal. Enjoy your weekend
Attached Image (click to enlarge)
Click to Enlarge Name: Screenshot1.png Size: 136 KB
Manage your money like a fucking grown-up
  • #18
  • Jul 6, 2018 8:11am Jul 6, 2018 8:11am
Quoting ministry
Ahuh. This is now your trading journal bud Oswald? I'll be following here. I'll be funding my account next week. I'm not sure yet how much I could afford. I'll be looking at Davit's Pivotal Trading but seems quite hard for me to understand it yet. But I'll try. Your risk management seems to be of liking to me. I'll try to figure it out. We will succeed here though we only have a tiny investment to start but we will try. Good luck to you bud. I'll be seeing you in green for this whole year and onwards with buddy Jay, too.
Ey Buddy Ministry I am glad you are following. Yes we will and thank you!

The idea here is to show that incorporating clear trading objectives with lot sizing are the key regardless of the investment capital.
Manage your money like a fucking grown-up
  • #19
  • Jul 6, 2018 8:15am Jul 6, 2018 8:15am
Quoting Aar
Great planning i should say. Wishing you very good luck in this journey. If you can achieve this you will not achieve some dollars! but an amazing self quality & confidence to become a smart trader. Stick to plan strictly, surely success will be there. But it should be in the trading journals not in the trading discussion, ask the admin to shift it to trading journal. Again best of luck, i will check your TE time to time.
Thank you Bud.

You got that right mate, becoming a consistent smart trader indeed is what a Trading plan reinforces to my fellow retailers.

I will definitely stick to the plan.
Manage your money like a fucking grown-up
  • #20
  • Jul 6, 2018 8:35am Jul 6, 2018 8:35am
Quoting 3ndlessHope
I truly wish you succees. I said i would bet against you because of the objectives. Max 40 trade/month with such low daily risk tolerance for 10% return is only a dream for me haha.
lol. buddy what do you recommend?
Manage your money like a fucking grown-up
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